Howard Lutnick

White House Clarifies $100K H-1B Visa Fee, Exempting Current Holders

WASHINGTON ⁣- ‌The‍ Biden governance has clarified that a proposed $100,000 fee for certain H-1B visa applications will not apply to existing ‌H-1B visa holders, according to recent‍ statements. The ⁣fee, initially announced as part ‌of ⁣a broader plan to fund border security and overhaul ⁢immigration pathways, sparked concern among tech companies and workers already⁢ in the U.S.

The proposed⁣ fee ⁣structure, unveiled alongside ⁤plans for “Trump ​Platinum Cards” ⁢aimed at​ attracting foreign investment,⁢ seeks to shift the financial ‍burden of border enforcement onto companies utilizing the H-1B visa program. The Trump Platinum Card, priced at $5 million, woudl grant foreigners up ​to​ 270 days ⁤in the U.S.⁣ without U.S. taxes on non-U.S. income, while a $5 million gold card would replace existing employment-based visas.

These cards,proposed ‌by Lutnick,would perhaps replace employment-based visas currently available to ⁣professionals like ⁤professors,scientists,artists,and athletes. The move has drawn praise from groups like U.S. Tech​ Workers, who called it “the next best thing” to abolishing the‍ H-1B visas altogether, arguing they displace American workers.

Though, ‌the ‌proposed fee increase has faced legal challenges. Doug Rand, a senior official at U.S. ⁢Citizenship and⁤ Immigration ‌Services during⁣ the ⁢Biden administration, labeled the fee “ludicrously lawless,” ‍characterizing⁢ it ​as⁣ “fan service‌ for immigration restrictionists” unlikely‍ to withstand legal scrutiny. Rand stated, “Trump gets his headlines, and inflicts a jolt of⁢ panic, and doesn’t​ care whether this survives ‍first contact with the courts.”

Historically, H-1B visas have​ been allocated‍ thru a lottery ‍system. This year, Amazon ⁢received‌ the most H-1B visas,‌ exceeding 10,000, followed‍ by Tata ⁣Consultancy, Microsoft,⁢ Apple, and⁣ Google. California hosts the largest concentration of H-1B⁤ workers. ⁢

Critics contend⁢ that ⁤H-1B visas are often granted for‌ entry-level positions, ⁣rather than roles ⁢requiring specialized skills.​ Concerns also exist that companies exploit the program by classifying jobs at lower skill levels to reduce labor costs, potentially undercutting ​U.S. wages. This has‍ led many U.S. companies to ⁣outsource tasks ‍to ⁤consulting firms like Wipro, Infosys,‍ HCL Technologies, Tata, IBM, and Cognizant, which then hire foreign workers, frequently enough from India, and contract them ⁢out to ​U.S.employers.